Circle Tops Q3 Forecasts as USDC Transaction Volume Climbs 49%

Circle posted third quarter results on Wednesday that came in well above what analysts had expected, driven by a sharp rise in activity on its USDC stablecoin. Net income from continuing operations grew 5% from a year earlier to $226 million, while total revenue and reserve income rose 17% to $865 million.

Circle Earnings Beat Wall Street Estimates

Adjusted earnings came in at 84 cents per share, about 127% above the 37 cents analysts had projected. Revenue of $778 million also topped forecasts by more than 11%. Part of that income, around $182 million, came from the private presale of ARC, the native token of the company’s Arc blockchain.

USDC Onchain Volume Hits $13.9 Trillion

The main growth engine was USDC itself. Onchain transaction volume for the stablecoin jumped 49% to $13.9 trillion, which helped lift total revenue and reserve income for the quarter. The New York-based issuer also pointed to the public mainnet launch of Arc, its agreed purchase of Singapore payments network Tazapay and a $100 million investment from Binance as key moments of the period.

Workforce Cut and Share Price Reaction

Circle also announced a 5% reduction in staff, booking a $9.1 million restructuring charge. The company said the move was meant to bring its organizational setup closer to how the business now operates. CRCL shares edged down 1.1% to $74 in pre market trading, after closing Tuesday up 4.3% at $75.22.